BUSI MAVUSO: Economic reform is for all spheres of society
Business and labour need to address the low levels of productivity in the country
After what seemed like years of relentless downgrading of our economic prospects — and in turn the government’s ability to fund its growing debt — the move by one of the world’s three leading ratings agencies, S&P Global Ratings, to leave our rating unchanged and keep the outlook stable is a relief.
For large parts of the past decade, their sentiment towards the SA story has been negative, but this was almost entirely self-inflicted. Confidence waned and the fiscus struggled under the weight of onerous funding obligations. Now, with an economy just beginning to rebound from 2020’s Covid-induced collapse, we cannot afford a slide even deeper into subinvestment grade. It would make the climb back to investment grade a more distant possibility...
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